Perlite Market - Growth, Trends, and Forecasts (2023 - 2028)

The perlite market is expected to register a CAGR of over 5% during the forecast period.

Increasing demand for perlite from the agricultural and construction industries is expected to drive the market during the forecast period.

Key Highlights

• The availability of some substitutes, such as Diatomite, Pumice, Slag, Vermiculite, and Coco-coir, are likely to hinder the market's growth.
• Increasing new application bases of perlite like eco-roofs, soil conditioning, and wastewater filtration and government certifications for its consumption may act as an opportunity for the market in the future.

Perlite Market Trends

Increasing Demand for Agro-perlite in Fillers

• Agro-perlite is a volcanic soil with a chemical composition that improves the soil quality upon addition. When perlite is added to the soil, it reduces the ripening period of the crop by 20% and increases output yield by 50%.
• The ideal perlite to soil ratio ranges from 1:3 to 1:4, determined mainly by the soil type. It is utilized in a small percentage in clay and sand-type soils to allow for breathing. It also inhibits the growth of pests and fungus. Agro-perlite retains fertilizers in close proximity, making it easier for plants or crops to flourish.
• It is used as a soil regulator and a water-saving agent. Instead of chemical qualities, it can alter the physical properties of greenhouse soil. Water use can be cut in half by pouring 4-5 cm of grain-sized perlite into a greenhouse with sub-irrigation and dripping irrigation.
• Agro-perlite is an eco-friendly, safe volcanic rock that has been heat-treated to improve soil qualities by making it more brittle and porous to air and water. It can be blended with soil or added to the surface or bottom of the flower container.
• Such factors, coupled with government support in the form of schemes, will likely boost the demand for agro-perlite in fillers in the future.

Asia-Pacific to Dominate the Market

• Asia-Pacific dominated the global market share. With the growing application of perlite in horticulture, agricultural production has shown an outstanding yield. The use of a hydroponic system can also boost the yield, which is, in turn, likely to drive the consumption of perlite.
• Perlite is also used as a filler in the construction industry for acoustics, ceiling tiles, floor heating insulations, highway sound-absorbing walls, and others. With growing construction activities, perlite consumption is expected to grow during the forecast period.
• According to China's five-year plan unveiled in January 2022, the country's construction industry is estimated to register a growth rate of 6% in 2022. China is also planning to increase the construction of prefabricated buildings to reduce pollution and waste from construction sites.
• The Government of India is strongly focused on infrastructure development to boost economic growth. According to Budget 2019-20, India plans to spend USD 1.4 trillion on infrastructure in the next five years. In 2022-23, the government allocated around INR 64,573 crore for developing new roads and bridges.
• Thus, such factors may contribute to the increasing demand for perlite in the region during the forecast period.

Perlite Market Competitor Analysis

The perlite market is highly consolidated as the five major players hold a significant share of the market. Key players in the perlite market (not in any particular order) include Aegean Perlites SA, Imerys, Bergama Mineral Perlite, Cornerstone Industrial Minerals Corporation, and Saudi Perlite Industries. Other prominent players are Azer Perlite Corporation, Profiltra BV, Coxmin Minerals Ltd, and Mianeh Perlite Expanding Co. Ltd.

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